Francisco Blanco, founder of Conducta consulting, believes the human element in CDMO-sponsor relationships has been lost in the race for efficiency. “I do feel like the human component of these relationships has been lost. When I see five-star client services from CDMOs, it’s typically not because of the strength of their processes – it’s the individual.”
Francisco Blanco brings over 15 years of experience from leadership roles at Thermo Fisher and IQVIA to his consultancy Conducta, where he helps life sciences companies navigate complex supply chain transformations, with particular expertise in cell and gene therapy operations.
In this PharmaSource podcast episode, Francisco shares crucial insights on how biopharma companies and CDMOs can redesign their customer experience approach, particularly as the cell and gene therapy sector evolves.
The Evolution of CDMO Customer Experience
The maturity of the CDMO market has led to an increasing focus on systems and processes, sometimes at the expense of personal relationships. While larger CDMOs have developed sophisticated platforms and procedures, Francisco notes that smaller providers often excel at customer service precisely because they rely more heavily on experienced personnel who can provide consultative guidance.
“When I see smaller CDMOs, they really have the experience, the expertise, they have the staff that is needed to deal with biotechs and guide them. It’s a natural development of the market in terms of reaching a maturity peak.”
Different Approaches for Different Clients
Francisco emphasizes that big pharma and biotech companies require distinctly different service models. Big pharma tends to be more transactional and process-driven, while biotechs need a more consultative approach.
“Big pharma companies are typically transactional in their approach. They have large teams, they know how they want to work with suppliers. The relationship is typically very systems and process driven,” explains Francisco.
“Biotechs require a consultative approach because they’re still looking for ways to set up their clinical trial or go to market. The relationship is often more personal, there’s many touch points, and you get the feeling that you’re in it together.”
The Five Phases of CDMO Customer Experience: A Detailed Framework
1. Assessing the Relationship
“In the assessment phase, it’s critical to understand not just technical capabilities, but cultural fit,” explains Francisco. “When I work with biotechs selecting CDMOs, we look at their track record with similar-sized companies and their ability to provide the right level of support.”
2. Initiating the Relationship
The initiation phase establishes the foundation for success. “This is where you define how you want to work together. It’s quite process-driven, but you need to customize your approach based on whether you’re working with a sophisticated large pharma or a biotech that needs more guidance.”
3. Planning the Project
Francisco emphasizes the importance of balancing standardization with flexibility: “In planning, you need strong systems and processes, but also the ability to adapt. What works for one client won’t necessarily work for another. This is where experienced project managers really earn their keep.”
4. Executing
“This is where the real differentiation happens,” Francisco notes. “Execution is where companies can be the stars. That’s where the project managers can be heroes, in terms of anticipating needs, helping with challenges, because in the end, these last two buckets will decide if this same customer will come back or not.”
5. Delivering and Closing Out
The final phase is crucial for building long-term relationships. “The close-out phase will decide if you’re going to have a short customer lifetime value or a long one. This is where you demonstrate your true value as a partner.”
Measuring Success and Implementation
Francisco recommends specific metrics for each phase of the customer journey, from time-to-decision in the assessment phase to customer satisfaction and repeat business rates in the close-out phase.
He offers practical implementation advice for CDMOs:
- Segment customers based on size, modality, and needs
- Assign project managers based on client type and requirements
- Develop different service models for big pharma versus biotech
- Invest in both systems and people development
- Create feedback mechanisms throughout the journey
The Future of CDMO-Sponsor Relationships
Looking ahead, Francisco sees technology enabling better customer experience but emphasizes that the human element remains crucial:
“Systems and processes are important, but in our environment that is so complex and service-driven, the human component is key. What kind of person you put to that relationship is key, and how you train that person and coach the person and develop the person is really imperative.”
The framework has proven particularly successful in complex modalities like cell and gene therapy, where strong customer relationships are essential for navigating technical challenges and ensuring project success.